THE

WINTER 2017

IN THIS ISSUE Rapidly evolving retail market poses challenges, opportunities for Downtown merchants

Retail Market...... 1 Property Crime...... 2 Ambassador Program...... 3 Quarterly Ambassador...... 3 Seismic Retrofit...... 4 CAAP...... 5 Wage & Sick Leave Laws.....6 Business Profile...... 7 Sears...... 8 New Businesses...... 9 L.A. Marathon...... 10 Parking Structure 5...... 10

Santa Monica Place hosted a Chinese Lunar New Year celebration in its plaza, an example of how retail centers are putting a greater emphasis on creating fun, unique experiences for visitors.

n-store cooking demonstrations, sleek Kombucha bars Nationally the 2016 holiday season had the strongest with plush seating, customized cell-phone cases and retail sales growth in many years; 4 percent over 2015 for Ishoe cleaning services — these are just some of the new $658.3 billion, according to the National Retail Federation. offerings retailers are providing to stay relevant in a world However, a growing percentage of that spending was tak- where online shopping continues to draw customers away ing place online. The latest figures show that while 90 per- from traditional brick-and-mortar stores and shoppers cent of retail sales are still taking place in stores, online gravitate towards customization, convenience and cool sales grew by a factor of four over in-store purchases. And experiences they can share with friends. that trend will only continue.

Shoppers in Downtown Santa Monica and the Third Street That, coupled with regional competition from shopping cen- Promenade, one of the most successful and recognizable ters like The Grove, and redevelopments in Century City and commercial centers in the world, are getting a taste of the Palisades, could pose significant threats in the coming those offerings already as major brands look to DTSM and years, putting pressure on local businesses to adapt or die. the roughly 16 million visitors annually as the perfect showroom to test out those new concepts. The beginning of the year is when brands on the brink either stick it out or close up shop. A handful of brands have or plan “It’s all about giving the customer something different, to shutter brick-and-mortar locations on the Promenade, something special that they cannot get online,” said Rob including Six:02, American Apparel and Express. Sears, a sta- York, retail consultant for Downtown Santa Monica, Inc. ple at the southern end of Downtown, is also closing. with nearly 30 years of experience in real estate develop- ment with an emphasis on shopping centers. “The impact Fashion retailer Nasty Gal, which entered bankruptcy protec- from the growth in online sales outpacing in-store sales is tion late last year, has a potential buyer but must complete a Everyone’s downtown.sm forcing every retailer to adapt.” continued on PAGE 11

1 1 Police respond to increasing activity in Downtown

BE A CRIME FIGHTER

The Santa Monica Police Department offers sever- al programs to help businesses deter crime.

Any business or homeowner can have an officer come to their property and perform a security sur- vey by calling 310.458.8474 and leaving a request that includes their address and telephone number. The responding officer will look for potential vul- nerabilities and ways to deter break-ins.

Last year, SMPD did 136 surveys to make business- es and homes more difficult for a criminal to attack.

Business owners are also encouraged to get to know the officers on their beat. An open line of communication can help police respond to an area olice call it Beat One: the patrol area that Beat One, both were on Fifth Street and both are before a crime even happens. encompasses Downtown Santa Monica, still under investigation. PMain Street, the Santa Monica Pier and the “If they see anything, call us,” Lt. Saul Rodriguez beach. It’s the heart of Santa Monica’s tourism Rodriguez said tackling the car thefts has been a said. “Even if it’s just: ‘Hey, this person has been industry and business activity, and it’s also the challenging task because of the constant stream hanging out here for an hour by the jewelry store.’ busiest beat in town a cop can be assigned. of visitors. We’ll go to that call.”

Part One crime in Santa Monica rose 5.5 percent According to Santa Monica Travel and Tourism, the Employees who bike to work can sign up for the in 2016, according to new numbers released by nonprofit that promotes Santa Monica to the world, Bike Index Program to help identify them as the the Santa Monica Police Department (SMPD). Of more than 8 million international visitors came to owner in case their bike is stolen. Often, officers the 119,000 calls to police in 2016, half of them Santa Monica in 2015. Those visitors will not have will bust a thief with a stolen bike, but then have involved incidents in Beat One. Part One crimes seen or heard prior warnings about protecting their difficulty getting the bike back to the rightful can be something as rare as arson or something property and tourists are prone to leaving bags and owner. The Bike Index Program creates a database that happens more often, such as car break-ins. electronics unattended. Officers do patrol the area, where owners can post the year, make, model and but individuals can aid in their own defense. serial number of their bike. They are encouraged That’s why Beat One is getting the full attention to post pictures as well. of the SMPD. “There’s even messages when you go into the parking structures: ‘Lock up your things and If a stolen bike is recovered, police will use that “We know we need to increase our policing pat- secure your car,’” Rodriguez said. database to get it back to the owner. terns Downtown, at the Pier and by the beach,” Lt. Saul Rodriquez said. “We’re going to add addi- But with the increasing thefts, SMPD plans to tional officers. You’re going to see them. “ add Community Services Officers to patrol the Late last year, the SMPD released crime statistics parking structures. To improve overall public surrounding the three Expo Line stops in Santa Theft remains the most common problem for safety, Santa Monica Police Chief Jacqueline Monica. After the line opened, the numbers local police and as Downtown is the hub of Santa Seabrooks wants to add more sworn officers to showed an increase of 54 percent in Part One Monica’s retail economy, it is the most likely tar- the force, which has been struggling to backfill crimes over a six-month span from May to get for criminals. Police estimate 90 percent of positions as officers retire. November, with nearly half of the crimes occur- Part One crimes in the City involve theft, mostly ring within 1,000 feet of the Downtown station. from cars and bikes. “Our call load is continually going up,” Rodriguez said. As Santa Monica Place and several parking lots fall With so many shoppers in the Downtown, the Some types of crime, such as pick pocketing, just within the 1,000-foot radius, it’s possible much area is full of vehicles and bicycles creating a dis- purse snatching and shoplifting, were relatively of the crime near the Downtown station has noth- proportionate amount of theft for Beat One. stable year over year. The theft of car parts from ing to do with the train, but is instead the same vehicles actually declined to 143 from 180 last kind of car thefts that occur throughout the area. There is good news in the numbers. Violent crime, year, and there were 11 purse snatchings in both for the most part, stayed stagnant year over year. 2015 and 2016. In 2016, there were just two violent crimes in continued on PAGE 8

2 DTSM ambassadors hired by City Hall to staff nearby parks

owntown Santa Monica’s Ambassadors (PBAD) was created by a vote of property owners in Downtown Santa Monica’s ambassador program have earned a reputation as the friendly 2009. The organization has been commissioned for has been regarded as a key element in the revi- Dfaces of the area and a pilot program has a two-year pilot program to utilize their staff in talization of the district, helping to provide a expanded their program to nearby parks to pro- City parks adjacent to the existing Downtown area. welcoming atmosphere for visitors. Ambassadors vide hospitality services while also deterring are uniformed sidewalk concierges that are antisocial behaviors. At the end of the pilot City staff will return to the trained to assist those seeking information about City Council with an evaluation of the pilot pro- Downtown, and they report maintenance and Ambassadors, recognized by their blue shirts and gram and provide a recommendation to either public safety issues. In addition, maintenance fedoras, will help visitors find their way and continue, end or expand the program to other ambassadors pressure wash Downtown parking monitor unacceptable behavior in Tongva and areas adjacent to Downtown. structures, remove graffiti and pick up trash left Palisades parks for a period of two years. The on streets and in alleyways. program began Jan. 1, 2017, approximately six "Downtown Santa Monica, Inc. is pleased to be months after the nearby Expo station opened. able to provide our successful hospitality pro- The ambassadors have continuously received gram to these amazing public spaces that lie just excellent reviews and ratings from residents, vis- The goal of the program is to improve the parks’ outside our district boundaries,” said Kevin itors, and businesses regarding their customer cleanliness and safety. Downtown Santa Monica, Herrera, senior marketing and communication service, via unsolicited emails and mystery shop- Inc. created the Downtown Ambassador manager for DTSM, Inc. “We believe our welcom- per evaluations. Hospitality and Maintenance Program when the ing ambassadors will make the parks more enjoy- Downtown Property Based Assessment District able for our residents and visitors." continued on PAGE 9

Ambassadors of the Quarter

Congratulations to these Downtown Santa Monica Ambassador employees for their outstanding service.

Detho Townsend Anthony Soto Maintenance Ambassador Hospitality Ambassador

Age: Everyone is the Age: Age ain't noth- age of their heart. ing but a number.

Where are you from: Where are you from: Detroit, Michigan Los Angeles

How long have you How long have you been an Ambassador: been an Ambassador: 8 months 9 months

Favorite aspect of the job: Favorite aspect of the job: Keeping the area and parking structures clean Meeting new people and getting exercise

What’s it take to be a good Ambassador: What’s it take to be a good Ambassador: Lots of walking and a good pace Lots of walking and a great smile

Favorite business in Downtown: Favorite business in Downtown: Bruxie Too many to name just one

7 3 City releases list of buildings vulnerable to collapse following major quake

SEISMIC RETROFIT PROGRAM Potentially Seismically Retrofit Must be Vulnerable Buildings Type Completed Within Unreinforced Masonry Buildings 2 Years Concrete Tilt-Up Building 3 Years Soft-Story Buildings 6 Years Non-Ductile Concrete Buildings 10 Years Steel Moment Frame Buildings 20 Years Single Family Voluntary

he City of Santa Monica has released a list of According to City staff, buildings on the list will the Council required building owners to retrofit buildings it believes may be at risk of col- receive notice to complete a structural analysis and their properties to updated standards and many Tlapse during a major earthquake, putting if buildings are found to be non-compliant with did – some passing on the costs of the retrofit to landlords on notice that they may have to do established standards for earthquake resistance tenants. While owners of rent-controlled units seismic retrofitting if they wish to have tenants they will be required to undergo a seismic retrofit. had to prove they met requirements in order to continue to occupy them. raise rents, there was no formal enforcement Most of the buildings in danger are apartments effort for other structures. As a result, the City As many as 2,000 buildings could be impacted, with units sitting over a carport that may not admits compliance was essentially voluntary. including some of the City’s tallest: 100 Wilshire (21 have enough support to withstand significant stories of commercial tenants), Huntley Hotel (17 seismic shaking. In fact, half the structures on “There were mandatory efforts after the 1994 earth- stories) and Pacific Plaza Apartments (15 stories). the City’s list are so-called “soft story” buildings quake but they didn’t get done for whatever reason,” with only two floors, according to the City’s top Councilmember Sue Himmelrich said during discus- The list has more than a dozen addresses on the building official, Ron Takiguchi. Soft-story build- sion of the new ordinance. “It’s really important that Third Street Promenade including the buildings ing owners will have 72 months to retrofit. we carry through with this program.” that house Apple, Banana Republic, United Colors of Benetton, GUESS and Journeys, among Takiguchi estimates steel and concrete property Takiguchi plans to begin issuing notices to the own- others, according to a report in the Santa retrofits will cost between $50 and $100 per ers of approximately 200 brick buildings on May 1. Monica Daily Press. square foot. He estimates “soft story” retrofits to The rest of the notices will go out in waves. cost between $5,000 and $10,000 per unit. Inclusion on the list does not necessarily mean a By July, owners of “soft story” apartment build- building is unsafe or structurally deficient. Some In order to speed up the process, the City is consider- ings, where one or more units sit over open park- of the buildings may have already been retrofit- ing streamlining the appeals process for buildings ing, will get their notices. That means by this ted after the Northridge Earthquake. that require retrofits that put them at odds with other summer more than 600 buildings will need local ordinances. For example, thickening columns to inspection by structural engineers to determine The City will focus on retrofitting concrete and support overhanging apartment units may mean ten- the extent of necessary retrofits. brick buildings first because they have the great- ants lose valuable parking spaces. Councilmembers est risk of collapse during a major earthquake. stressed that safety during an earthquake may take Around the same time, the City Council will begin Owners of “unreinforced masonry buildings” — priority over other requirements. budget discussions to decide whether the City often built out of bricks — will have two years to needs to hire additional staff to handle the vol- get a permit and retrofit under the new ordi- “We are sitting in a big bowl of the geological ume of permit applications. By the end of 2017, nance. Steel moment frame structures have two equivalent of Jello,” retired USGS seismologist Dr. an additional 510 buildings will receive notices. decades to finish the work. Lucy Jones told the City Council in December. The last 900 buildings, which consist entirely of The buildings on the list were identified through Regionally, a major earthquake along the San “soft story” apartment buildings, will get their building permit records and/or visual identification. Andreas Fault could destroy as many as 300,000 notices to begin inspections in 2018. These buildings display characteristics such as age, buildings. While Santa Monica is 50 miles away appearance, construction material, method of from the fault line, it sits in a basin that is vul- The public can visit smgov.net/departments/PCD/ design and construction, and structural records that nerable to significant shaking. Programs/Seismic-Retrofit to look up their may indicate a potential need for strengthening. address to see if their building is on the list. In the wake of the 1994 Northridge Earthquake,

4 City calls on businesses to help draft climate action plan

he City of Santa Monica has a long history of So what does carbon neutrality exactly mean? energy efficiency retrofit projects and improve- being a leader in sustainability. In 1994, it was Carbon neutrality represents a net zero carbon ments in walking and biking infrastructure to Tthe first city in the nation to adopt a footprint by balancing a measured amount of incentivizing solar, energy storage and EV charging Sustainable City Plan (SCP). The SCP set goals and carbon released by the community with an station infrastructure, the CAAP will support busi- targets to be achieved over time in the areas of equivalent amount sequestered or offset. To nesses in reducing their own carbon footprints. resource conservation, environmental public health, become neutral, Santa Monica will need to dras- the economy, community wellbeing and culture. tically reduce its emissions. Want to learn more and get involved? One way to take action is to participate in the City’s Climate In 2013, Santa Monica adopted its first climate Cities around the world, such as Portland, New Action and Adaptation Plan process so that the action plan, the 15x15 Climate Action Plan (CAP). In York City, Copenhagen, and Yokohama, acknowl- CAAP can be representative of everybody’s needs. order to reach a 15 percent greenhouse gas (GHG) edge the threat of climate change on health, the The CAAP is currently being drafted and we are emission reduction below 1990 levels by 2015. environment, and to the economy, and have looking for more input and perspective from the adopted carbon neutrality goals in order to miti- business community. There are several ways to In September 2016, the 15x15 Climate Action gate these impacts and be more resilient. get involved in this process: Plan Final Report was released, reporting on the achievements the city accomplished as a result of The new Climate Action and Adaptation Plan will • Fill out the survey to let us know how you envi- the CAP. The city went beyond its goal and actu- do the same for Santa Monica. The plan has sev- sion a carbon neutral Santa Monica and what we ally reduced GHG emissions by 20 percent. During eral goals: clean energy, low-carbon mobility, can do to help you get there: https://www.sur- this time of emissions reductions, Santa Monica’s sustainable water management, climate change veymonkey.com/r/CAAPbusinessoutreach population increased by 7 percent, while taxable adaptation, and zero waste. sales have increased 89 percent since 2001 and • Visit us online for more information on the jobs have increased by 51 percent since 1998. But, the big question is: what does this mean for CAAP process: www.smgov.net/climate businesses in Santa Monica? Our successes in climate action are thanks to • Visit us online for programs and services the conscientious residents and active businesses Businesses are also affected by climate change. City currently offers businesses: www.sustain- doing their part to save energy, go solar and Climate change brings uncertainties such as ablesm.org/business reduce their transportation impact. decreased water reliability, increased energy usage, more expensive utility bills, increased food • Organize a more detailed presentation/work- And now, the City is in the process of developing and materials cost, and greater risk of natural dis- shop about the Climate Action and Adaptation the next Climate Action and Adaptation Plan asters. As the Climate Disclosure Project reports, Plan for your business/neighborhood. Please (CAAP). This plan will help achieve the City’s “$4 trillion’ worth of assets will be at risk from cli- contact [email protected] adopted target of carbon neutrality by 2050 or mate change by 2030.” sooner, while preparing for the impacts of cli- • Subscribe to our monthly SustainableSM mate change. While climate change may pose risks, it also pres- newsletter - http://bit.ly/2kNpaR6 ents opportunities. From encouraging building

7 5 Minimum wage, sick leave laws now in effect

MINIMUM WAGE RATES (AS OF JULY 1 EACH YEAR)

Businesses with 26 Businesses with 25 Year All Hotels or more employees or fewer employees

$10.00 2016 $10.50 (CA State Minimum Wage) $13.25

2017 $12.00 $10.50

2018 $13.25 $12.00 $15.37 + CPI he New Year ushered in scores of new laws in 2017 including a higher minimum wage in Santa 2019 $14.25 $13.25 (Aligned to City of LA Hotel Monica and guaranteed sick leave for workers. Wage; increases annually by T Consumer Price Index - CPI) Here are some things to know about the new rules: 2020 $15.00 $14.25 Gradual Increase: 2021 $15.00 $15.00 The minimum wage will continue to increase every year in Santa Monica until it reaches $15 an hour in 2020. In 2017, businesses with 26 or more employees must pay $12 and hour. SICK LEAVE PROVISIONS “The most important thing (AS OF JANUARY 1 EACH YEAR) Seasonal Workers: (businesses) would need to know is that their seasonal Businesses with 26 Businesses with 25 Year Although many Santa Monica employers are and part-time workers are or more employees or fewer employees affected by seasonal changes in business, the entitled to the same benefits City decided against adding any provisions for as permanent employees,” seasonal workers in the new minimum wage Lazicki said. 2017 40 hours 32 hours rules. Temporary workers on the Santa Monica Pier and the beach must receive the same mini- Sick Leave: 2018 72 hours 40 hours mum wage as full-time employees, unless they are doing the job for the very first time. Starting on Jan. 1, companies Notes: Employees accrue one hour for every 30 hours worked. in Santa Monica with more Employers can provide leave up front, and employer plans can be more generous. “It’s very limited and it’s not age specific,” than 26 employees had to Stephanie Lazicki, the City’s principal administra- offer five days of paid sick tive analyst, said about the provision for first- leave. Smaller businesses are required to give time workers. Employees working for the first four days, or 32 hours. “The most important thing time in an activity in which they have no previous experience can earn 85 percent of the minimum The City has been reaching out to make sure (businesses) would need to wage for the first 160 hours of employment. owners know how to follow the rules. know is that their seasonal

During development of the ordinance, the owners The ordinance requires more paid time off and a and part-time workers are of Pacific Park and Perry’s told the City they would higher minimum wage than existing California entitled to the same benefits not be able to employ the same number of peak law. Thousands of Santa Monica employees are demand workers (a total of more than 500 work- already watching the PTO add up on their pay as permanent employees.” ers between the two businesses) without any kind stubs. Employees accrue one hour of sick leave Stephanie Lazicki of exemption for seasonal employees. Since a for every 30 hours they work. The ordinance also large fraction of those employees are getting jobs allows those employees to carry over accrued CITY OF SANTA MONICA’S for the first time (30 percent for Perry’s and 50 days from year to year. PRINCIPAL ADMINISTRATIVE ANALYST percent for Pacific Park), the City instituted the first-time worker provision as a compromise.

6 Mudra keeps their individuality on the Promenade

t takes thousands of years for a diamond to form, but it’s only taken 25 for Mudra to Iestablish itself as a unique gem on the iconic Third Street Promenade.

Located between Broadway and Santa Monica Boulevard in one of the Promenade pavilions leased by the City, the independent boutique carries handmade clothing items that keep up with the latest fashion trends, and at afford- able prices.

Kay Miller, owner of Mudra, starts her day at 11 a.m. with her daughter, Jill, when they open the store’s doors to the millions who visit the prom- enade each year.

Jill explains they both spend the majority of their time in the store, but it is her mother who has put her long-time dedication into the business and into the clothes.

Kay’s love of fashion began in her early 20s when she used to sew her own clothes. It was more cost effective for her and her family.

“My mom made clothes for herself and my dad, and people began to want an outfit like hers, and “We have a little bit of everything from classic to so did their friends.” The Mudra ladies receive new shipments casual. We offer various styles because we want twice a week, as much of their products sell to accommodate everyone,” they said. Kay began selling her work in a small booth off of out in a week. Washington Boulevard in Venice, and from there The store is named after the Mudra, a symbolic hand they made their way to Santa Monica. “My mom has a great eye for this business. gesture and a movement in yoga. The ladies said the Although she doesn’t design clothes anymore yoga pose can bring relaxation and peace, which is Kay and Jill, otherwise known as the Mudra she still goes to the manufacturers and designers a feeling they want to reflect in their fashion. ladies, both agree that their individuality is and gives her input on what would be best for what keeps their business going strong them, as well as us,” Jill said. Kay has been on the Promenade since 1991 and throughout the years. has seen independent businesses come and go. Kay is a strong believer in having a loyal rela- At the end of the day she watches more and The Promenade now holds various retail chains, tionship with local designers and small manu- more fashion franchises come onto the but the Mudra ladies want to stay true to their facturers because many of them are struggling Promenade while many of her business friends roots and continue to carry different, one-of-a- as globalization cuts into their profits. She has she made over the years fade away. kind clothing. seen multiple generations go through the small manufacturing industry and has created life- “Not only does Mudra bring back history of hav- They take pride in buying from local designers long friendship with designers, which results in ing an independent boutique but we are able to who work in Los Angeles, specifically in the items like the custom, handmade jewelry sold sell affordable and modern clothes,” said Jill. Downtown area. at the store. The Mudra ladies have had multiple opportunities “What makes us different from many of the While some retail stores are aiming for a specific to go into bigger stores but believe their connection stores on the Promenade is the simple fact that customer, the Mudra ladies do not classify their is true and genuine to the Promenade community. we don’t use mass production. We do what we clothing as preppy, classic, or sporty but rather think is best which is use small manufacturers to fashion forward. The clothing at Mudra is for any “No one else on the Promenade is local like us,” produce our clothing items that we sell in our woman at any age. Jill said. “The best part of Mudra fashion is the boutique,” said Jill. simple fact it is for everyone.”

7 7 Sears closing in April; landmarked building could become creative office space, retail

owntown Santa Monica’s historic Sears store could soon be repurposed into a Dmixed-use creative office and retail space after it shuts down the cash registers in April 2017.

The 100,600-square-foot store at Colorado Avenue just south of Santa Monica Place is owned by Seritage Growth Properties, the real estate investment trust set up by Sears to man- age its properties.

“Under this agreement, Seritage contractually has the right to recapture all of the space occupied by the Sears store and the Sears Auto Center,” Howard Riefs director, corporate communications for Sears Holdings, told the Santa Monica Daily Press. “Seritage informed us that they will be exercising that right and hence the store and Sears Auto Center will close in mid-April.” Officials described a re-energized building with respecting its rich cultural and architectural past.” The Santa Monica Sears opened in 1947 and was creative office and retail uses that would comply landmarked in 2004. Sears’ real estate trust pre- with all City and guidelines regarding preserva- Sears has been offering doorbusters since the sented its adaptive reuse plan for the site to the tion of historic national buildings. closure was announced in late January 2017. city’s Landmark Commission in late 2016. Seritage issued a statement to the Daily Press Seritage was set up in 2015 by CEO Eddie Lampert A 100,000-square-foot Class A office building regarding plans for the site. to help the troubled retailer shore up finances. has already been proposed on the site, with a Terms of the deal gave Seritage the right to end construction start date in December, according “We look forward to advancing an adaptive reuse some of Sears’ leases and find new uses for its to an article on The Real Deal blog. plan that creates a first-class, mixed-use commercial properties, according to The Real Deal. development that will add value to the local com- The process for redevelopment includes many munity while honoring the original building’s legacy Seritage’s portfolio includes 224 wholly-owned layers. As a landmark, any work on the site would by retaining its historic character,” it said. “In Sears and Kmart locations and 31 joint venture have to maintain the historic nature of the build- October, we presented the adaptive reuse plan to the investments with General Growth Properties, ing. The building also is part of the Coastal Zone City of Santa Monica’s Landmarks Commission as Simon Property Group and Macerich that are and the California Coastal Commission may need part of a process to protect and reposition the his- master-leased to Sears Holdings. to be consulted, according to the Daily Press. toric building. We are excited to work in partnership with the City, the Landmarks Commission and other Under the terms of the $2.7 billion deal, 224 Seritage gave an informal presentation to the governmental agencies to advance this proposal stores were leased back to Sears but Seritage has Landmarks Commission in 2016 covering broad expeditiously in order to give new life to this impor- the right to end some of those leases and find possibilities for adaptive reuse at the site. tant Santa Monica landmark, while at the same time new uses for the property.

continued from PAGE 2 much of the area was an active construction site. In The rest of the 16 crimes were thefts, nearly all of that case, crime would have gone from near zero them involving bicycles. during construction back to historic norms. SMPD said crime in general near the Expo station Changes to California law also may be behind the couldn’t be linked to individuals traveling on the The train remains a very safe way to travel. Crime uptick in property crime, police said. To alleviate train since the police department does not track on the train is tracked by the Los Angeles County prison overcrowding, AB 109 allowed many non- how perpetrators traveled to Santa Monica. Sheriff’s Department, which said that between violent, non-serious offenders to get out of jail early. May 20, 2016 and Nov. 20, 2016, there were 18 Two years ago, voters passed Proposition 47, reduc- “It’s very rare you have a criminal who commits a Part One crimes committed on the actual train or ing sentences for drug possession and petty theft. crime and tells you how they got to the city,” platforms. Two of those incidents were aggravat- Rodriguez said. “That’s data that we don’t have ed assaults related to the stabbing and subsequent “We’re very mindful that we need to change and right now.” officer-involved shooting that happened on the adapt to what’s going on,” Rodriguez said, It’s also possible that crime within a short distance Downtown Santa Monica platform in December. adding that other agencies will also play a role in of the tracks was artificially low for several years as reversing the rising tide of property crime.

8 continued from PAGE 3 comfortable for everyone. Park activation strate- gies have included musical events, fitness classes The staffing includes one hospitality ambassador and outdoor games. The strategies have also roaming Palisades Park, one restroom ambassa- The opening of the Downtown Expo Light Rail focused on providing park ambassadors to greet dor monitoring Tongva Park and one hospitality station and Colorado Esplanade in the Spring of park patrons, answer any questions and report ambassador roaming Tongva Park during desig- last year brought more foot traffic to the district, maintenance, and behavioral problems. nated peak hours of operations. the Pier, and adjacent parks, City officials said. During the ambassador pilot program, City staff Hospitality ambassadors help maintain a wel- The ridership numbers have exceeded expecta- will evaluate data collected over the first year of coming and safe environment by engaging with tions for Phase 2 of the line, which stretches the program to assess the effectiveness of the use visitors, offering directions, recommendations, from Culver City to DTSM, Los Angeles County of the ambassadors in the parks and whether and other customer service assistance. transportation officials said. Expo registered an additional or different actions are required. The average of 54,000 weekday boardings in ambassadors are collecting data on handheld Due to the fact that homelessness continues to be December. That figure was nearly 14 percent devices, recording observations and types of assis- an issue in Downtown and surrounding parks, the higher than November’s daily average and tance provided, just as they do in the Downtown ambassadors will continue to have a working rela- marked the rail line’s second consecutive month district. DTSM, Inc. produces monthly and quarter- tionship with the Santa Monica Police Department of double digit growth. Weekend numbers have ly reports on the data collected along with obser- and local social service agencies to receive regular been even greater; over 75 percent of its week- vations, trends and issues. City staff proposed the training, particularly when it comes to interacting day average, according to an article in program with DTSM, Inc. because of the nonprof- with those who have a mental illness or who are UrbanizeLA.com. it’s ability to manage such responsibilities. exhibiting aggressive behavior.

That has naturally put stress on the public parks, The program includes hospitality services in A services agreement to contract ambassador with a reported increase in illegal and intimidating Palisades Park from the Pier to the California services with DTSM, Inc. is required because the activity in Tongva Park bathrooms and nearby areas. Incline from 6:30 a.m. to 11 p.m. daily, along parks are located outside of the Downtown dis- with hospitality and restroom monitoring trict boundaries and the pilot program is paid for City officials have tried various ways to activate services in Tongva Park from 6 a.m. through entirely by the City. the parks to ensure they are welcoming and 11 p.m. daily.

WELCOME TO DOWNTOWN SANTA MONICA

Alo Yoga The Body Shop HaleArts Space Gallery 1422 Third Street Promenade 1353 Third Street Promenade 395 Santa Monica Place, Suite 156 424.252.2660 www.thebodyshop-usa.com 310.260.2914 www.aloyoga.com www.halearts.com Panini Café Go Greek Yogurt 312 Wilshire Blvd. Plan Check Kitchen + Bar 1431 Ocean Ave. 424.744.8854 1401 Ocean Ave 310.310.2167 http://mypaninicafe.com/ 310.857.1364 www.gogreekyogurt.com www.plancheck.com Segway LA KC Chocolatier 1431 Ocean Ave., #1800 Mercenary General Store 1431 Second St. #103 310.395.1395 120 Broadway, Ste. 108 310.260.7750 https://segway.la/ 310.260.2238 https://mercenarygeneral.com/ Espresso Cielo BonLierre Nail Spa 1431 Second St. Unit C 1427 Seventh St., Suite 101 Patient Pop 310.260.1268 310.260.8627 214 Wilshire Blvd, 2nd Floor www.espressocielo.com http://blnailspa.com/ 844.487.8399 www.patientpop.com

7 9 LA. Marathon returning March 19th

unners will line up early Sunday morning, The goal is to have most Downtown streets reopen This year spectators will be able to take advantage March 19, at Dodger Stadium for the Los by 4 p.m. on race day. Those who choose to drive of the light rail system to several viewing spots RAngeles Marathon. An estimated 21,000 into Downtown during the race will be placed in a along the course, including the finish line. Runners people from all 50 states and more than 60 coun- loop running north on Fourth Street to Wilshire and their spectators are encouraged to shop local tries will make their way along the historic Stadium and then west to Second Street, where they will in Santa Monica. to the Sea route to the finish line located near the travel southbound. Santa Monica Pier in Downtown Santa Monica. Once they make it to Santa Monica, runners will Details can be found at www.smgov.net/marathon. make their way down San Vicente Boulevard to Residents and business owners can expect plenty of Ocean Avenue and finish in front of the Fairmont street closures, traffic delays and parking shortages Marathon organizers want to ensure a record- Miramar Hotel. in Downtown, as well as increased parking rates the breaking year so they’ve partnered with Guinness day of the race. Buses will be rerouted to stop at the World Records to provide on-the-day verification In addition to the actual race route, there will be 17th Street Expo Light Rail Station and will not be for those seeking to make history. Marathon some additional street closures in the City: Main allowed to travel within the Downtown, however, a organizers are encouraging participants to pick a Street will be closed from Colorado Avenue to shuttle will take passengers to the station if they record and submit their paperwork early if they Olympic Drive starting from midnight until 4 p.m.; choose not to use the Expo Line on their return. want to get into the book. Perhaps this will be the 26th Street will be closed from La Mesa Way to year someone sets the record for fastest marathon Georgina Avenue from 5 a.m. to 3 p.m. Big Blue Bus riders will be given a free transfer to dressed as a three-dimensional dinosaur (yes, jump on Expo at 17th Street to complete their that’s on the list). Race organizers expect elite runners to reach journey into Downtown. Ocean and California avenues just before 9:30 a.m. Spectators are expected to pack Downtown Santa City officials said car-sharing services such as Monica, particularly near the finish line on Ocean Plans were still being finalized before The Beat Uber and Lyft will be stationed along Fifth Street Avenue, and fill parking garages as they wait for went to press, however, they weren’t expected to and those requesting rides will have to talk over to their loved ones to finish the grueling 26.2-mile change much from prior years. that location for pickup. course.

New restroom coming to Parking Structure 5

ig changes are coming to Parking Structure But more importantly TAPS will provide customer TAPS construction should begin shortly thereafter. 5 (PS5) in Downtown Santa Monica. services for Big Blue Bus, City parking permits, and PS 5 will remain open during construction. B the parking garage operator (SP +) offices. The ground floor of PS5 has been utilized as com- City officials are nearly finished with the construc- There will also be a new public restroom that will be mercial space and storefronts for many years. In April tion of a new surface parking lot on Fifth Street monitored by the Downtown Santa Monica, Inc. 2014, the BBB closed its retail store on Broadway and that will be the temporary home of Big Blue Bus ambassadors, who will make sure it stays clean and moved into a 600-square foot space on the site (BBB), SP + and City parking operations, making safe. The ambassadors currently monitor a public shared with the City’s parking contractor. This is the way for construction to begin on a new restroom restroom at the ground level of Parking Structure 4. only Downtown location where BBB customers can and transportation center at PS5. obtain bus passes and route information. BBB, SP + and the City parking offices are expect- The Transit and Parking Services Center, or TAPS, ed to relocate to temporary officers by the end of SP + also operates its business from the space such will include a new art element on the ground floor March. The offices will be located at 1334 Fifth St. as ticket dispute and payment. The shared space is to “enrich the pedestrian experience, improve retail insufficient to handle the volume of staff and cus- access and add activity to the ground floor area The Currency Exchange at PS5 will relocated just a tomers, which can be as high as 300 daily for both and sidewalk,” according to a City staff report. few storefronts to the north in the Central Tower SP + and the BBB, City officials said. Building on Fourth Street.

10 continued from PAGE 1 TRENDS IN RETAIL MARKETING Drawing more energy to the northern block of court mandated process to liquidate its assets. It the Promenade continues to be explored. That made the tough decision to close its Promenade could mean public art installations or changes in • Customer generated content: Using guests’ location in mid-February. use, such as converting upper floors of retail into posts, videos on social media channels, website, creative office space or allowing more nightlife etc. Create visually stimulating installations that All those empty storefronts may seem to signal doom such as a jazz club or dance hall. are interactive and easily shareable. Using key- and gloom to the average shopper, however, York and words and clever hash tags to inspire sharing on others said the majority of closures were due to poor “Downtown Santa Monica, Inc. continues to social. Example: Apple iPhone campaign using cus- business decisions within each parent company. explore ways to energize the neighborhood,” said tomers’ photos in billboards, TV ads. Some failed to see the changes on the horizon, took Mackenzie Carter, director of marketing and on too much debt and expanded too quickly. communication for DTSM, Inc. “We’ve produced a • Customer engagement: Using social to better inter- series of free, fun and family-friendly communi- act with customers. Respond to complaints, turning Overall, the health of Downtown is strong. It’s ty events such as Picnic on the Promenade and negatives into positives. Show that you are listening. just a matter of maintaining the area’s reputation ICE at Santa Monica. It’s our goal to expand these Incorporate visitor feedback into displays, advertising. as a place to shop, dine and enjoy the balmy programs and look forward to introducing new weather and views of the Pacific Ocean that have public art to Downtown this summer.” • Mobile shopping: Shopping center apps are made Santa Monica a world-renowned destina- becoming more relevant with loyalty programs driv- tion. If Downtown does not stay at the upper Property owners will also play a significant role, York ing consumer behavior. Serving up ads to users while echelon it will have a more difficult time attract- said, by offering more flexible lease terms, lower on site can encourage them to spend or at least ing the investment it needs. rents or perhaps remodeling their spaces to accom- demonstrate value that may lead to purchases later modate new concepts, including smaller shops that on. Personalizing these programs using consumer “Our Downtown continues to perform well as the can accommodate new players in the market. data to offer up more relevant deals and discounts. economic engine for the city, generating 33 per- Coupled with experiences, these tools can make for cent of the City's total taxable sales income,” said Taylor talks about investments that are underway, a greater impact as the visitor is already in the area City Hall’s Economic Development Administrator which include new infrastructure; improving mobil- and geared to spend. For example, recommend the Jennifer Taylor. ity and access to Downtown through light rail, bike perfect pair of shoes (on sale now) to go with a dress and bus transit options and pedestrian safety; help- purchased last week online. That is evidenced by the opening of The Body ing to spread the amenities and attractions Shop, an all-natural beauty products brand; Alo, throughout the Downtown through such invest- • Create Community: Tinder for shopping centers, a rising yoga apparel store; and a branch of com- ments as the Lincoln Boulevard addition to the pairing visitors up with like-minded folks to create munications giant T-Mobile. Restaurants also Property-Based Assessment District, the Colorado “shopping buddies.” Partner with dating apps or social continue to pop up around Downtown, dispers- Esplanade; and the attraction of new and/or networking apps such as Bumble or Happn that use ing the Promenade’s energy to side streets that upgraded retail, dining and entertainment venues. location, as well as interests, to match people. were once dormant. While larger retailers flock to the Promenade because of the foot traffic, small- All that is needed as a significant realignment of • Host Regular Events: Partner with media companies er businesses are taking advantage of abundant regional shopping destinations on the Westside to expand reach and save dollars. Give people a rea- space and new residences cropping up nearby. is underway. Westfield Century City is undergo- son to visit; something they cannot experience online. ing a multi-million-dollar renovation, complete “If you said you were planning on opening a with an outdoor event area to host fashion • Mix it up: Creating a fusion of traditional and restaurant on Seventh Street a few years back shows and an expansion of some 422,000 square new media campaigns in the community can help people would have said you were crazy,” York feet of retail, restaurant and open space. a shopping center reach diverse demographics. said. “But now you look at the eastern edge of Billboards and transit ads wrapped around buses Wilshire [Boulevard] and pockets on Seventh and Real estate mogul Rick Caruso has major plans on local routes keep shopping centers top of mind Sixth streets, as well as Broadway with a mix of for the formerly sleepy Palisades, including an among commuters; targeted online media buys uses, including food, health and fitness, it’s excit- outdoor shopping mall called Palisades Village, pinpoint audiences based on relevant consumer ing to see the energy in Downtown.” which will most certainly draw shoppers who data; social media allows for real-time, two-way once frequented the Promenade. conversations with shoppers; and TV commercials “Through the Downtown Community Plan allow marketers to share great visuals while mixing process, City staff along with Downtown Santa Other shopping venues such as the Westside in the names of the various tenants that consis- Monica, Inc.'s staff and leadership have been Pavilion will not survive the competitive pressure tently draw people to the center. Cable networks in working closely to review strategic opportunities in their current form, York said. particular can provide highly geo- and demo-tar- to continue to attract investment, retain and gain geted options for advertisers, and should be con- new businesses, introduce complimentary uses Santa Monica does have a healthy, vibrant retail sidered in the marketing mix. that will continue to bring shoppers — both local sector, which continues to be very stable, show- residents and workforce as well as regional shop- ing fewer fluctuations in per capita sales than in pers and international visitors — to ensure its on- other regional retail centers like Beverly Hills and mix of services and amenities for our residents, work- going vibrancy and sustainability,” Taylor said. Culver City, Taylor said. ers and visitors, and ensuring the continued success and sustainability of our local economy,” Taylor said. To keep the momentum going depends on a wide Downtown Santa Monica, Inc. will work to contin- range of factors, York said, not just changing ue public and private investment along with a Change and disruption can often seem unsettling how retailers operate. strong management, marketing and programming at first, however, Santa Monicans should take of Downtown’s public spaces to maintain its cur- comfort in that Downtown and the Promenade “Continued efforts to enhance entertainment rent level of success in the coming years. maintain a strong position overall, setting us up options Downtown, including development of for future success if we embrace the new oppor- the long-delayed [movie] theatre project on “The future includes retaining and attracting local tunities while continuing to invest in what Fourth Street must be pursued,” York said. businesses to Santa Monica, continuing to provide a brought us to where we are today.

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BOARD OF DIRECTORS Barbara Tenzer, Chair Rob Rader, Secretary/Treasurer Bruria Finkel, Vice Chair Patricia Hoffman, Vice Chair Juan Matute, Vice Chair Barry Snell, Vice Chair Joshua Gilman, Board Member Noreen Husain, Board Member Julia Ladd, Board Member Alan Mont, Board Member Elaine Polachek, Board Member Scott Schonfeld, Board Member Johannes Van Tilburg, Board Member PEDESTRIAN DOWNTOWN SANTA MONICA, INC. STAFF Kathleen Rawson, Chief Executive Officer Mackenzie Carter, Director of Marketing & Communication SCRAMBLES Steven Welliver, Director of Policy & Planning Kevin Herrera, Sr. Marketing & Communication Manager Stephen Bradford, Venue Manager TJ Harney, Controller The 3 Stages of Pedestrian Scrambles and How to Use Them: Collette Hanna, Community Outreach Manager Nick Efron, Public Space Manager Laura Borsecnik, Special Events Manager John McGill, Sr. Field Services Coordinator Edwin Lopez, Field Services Coordinator Linn Wile, Administrative Assistant

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DOWNTOWN SANTA MONICA, INC. MISSION STATEMENT 1 2 3 On behalf of the City of Santa Monica, to promote economic stability, growth and community life within Downtown Santa Monica through responsible Green lights for north Green lights for east Drivers stop planning, development, management, and and southbound drivers. and westbound drivers. in all directions. coordination of programs, projects and services designed to benefit the community as a whole; Pedestrians wait to cross, Pedestrians continue to wait Pedestrians and bicyclists can which includes the District’s businesses, property making right-hand turns for while vehicles flow through safely cross intersection in owners, visitors and residents. drivers safer. intersection. any direction. 1351 Third Street Promenade, Suite 201 Santa Monica, CA 90401 Do not start crossing if red hand is flashing or solid. Tel: 310.393.8355 | Fax: 310.458.3921 [email protected] | www.downtownsm.com ©2017 Downtown Santa Monica, Inc. All Rights Reserved. Start crossing when the walking person is lit. Printed on 30% post consumer recycled paper

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